Essential things to build a two-sided marketplace like Airbnb

Vacation rental marketplaces, of late, have been gaining popularity. Travelers, business-work related visitors, tourists, and other globetrotters are now booking accommodation on the websites itself. So, does it mean they are booking rooms or suites in hotels? No, that is not the case.

They are booking accommodations that are owned by the public. They, the property owning people, who have extra properties or spaces to rent out, list their properties for rentals on a vacation rentals website. Interested travelers book and seek accommodation. That said, such websites act as a meeting point for accommodation seekers, or guests and property owners, or hosts.

Is starting up a Two-sided marketplace challenging?

These vacation rentals platforms are known to be two-sided marketplaces. Take the case of Airbnb, which is the most successful accommodation aggregate. It's two-sided because there are both guests and hosts. The secret of Airbnb's success lies in the fact that it has overcome the chicken-and-egg problem. Means, who have to come first to the site, whether a property owner or an accommodation seeker.

They both are complimentary. One cannot stand a chance without the other. If only property owners visit the site, then the very existence of the site is futile. In that scenario, one cannot become successful as an entrepreneur running a vacation rentals portal.

Airbnb has cracked this problem of 'supply and demand' by liquidity hacking and by creating theoretical accounts

However, the so-called chicken-and-egg problem arises only after you, as an entrepreneur, launch an impeccable website. To launch such a website you need some essential factors which deserve your attention.

Essential things to build a two-sided marketplace like Airbnb

The software you choose for creating your vacation rentals site has to be done diligently. Choosing a quality software cannot be neglected. Airbnb software, which is developed taking inspiration from Airbnb will be ideal. It is a replica of Airbnb, however, unique and developed from the scratch, combining the best of technologies

Secondly, the software has to contain the best of features, which can enhance usability and user experience, and above all, trust. Remember, a trustworthy marketplace is always a sought after marketplace. Feedback to host and guest, Dispute management system, Property reviews, Verified properties are some of the features that contribute to enhanced trust.

Apart from that, having an SEO strategy that is part and parcel of the software helps in taking your online vacation rentals website to a larger audience.

However, all these above-mentioned things like the proper software, along with a scope for customization, could prove to be game-changing.